Why is Howard Hotels Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 2.53%
- Poor long term growth as Net Sales has grown by an annual rate of 9.11% and Operating profit at 13.70% over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 0.10
2
Stock is technically in a Mildly Bearish range
- The stocks MACD and KST technical factors are also Bearish
3
With ROCE of -0.9, it has a Very Expensive valuation with a 2 Enterprise value to Capital Employed
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 6.29%, its profits have fallen by -105.6%
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Hotel, Resort & Restaurants)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Howard Hotels for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Howard Hotels
10.72%
0.10
63.32%
SENSEX
0.45%
0.02
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
9.11%
EBIT Growth (5y)
13.70%
EBIT to Interest (avg)
0.10
Debt to EBITDA (avg)
1.97
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.73
Tax Ratio
100.00%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
1.60%
ROE (avg)
2.30%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
56
Price to Book Value
2.54
EV to EBIT
28.59
EV to EBITDA
25.30
EV to Capital Employed
2.03
EV to Sales
1.79
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-0.92%
ROE (Latest)
-0.85%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
Technical Movement
16What is working for the Company
PAT(Q)
At Rs 1.47 cr has Grown at 1113.8% (vs previous 4Q average
NET SALES(HY)
At Rs 8.29 cr has Grown at 38.40%
PBDIT(Q)
Highest at Rs 1.77 cr.
PBT LESS OI(Q)
Highest at Rs 1.45 cr.
EPS(Q)
Highest at Rs 1.61
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Howard Hotels
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 1.45 cr has Grown at 1308.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -0.12 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 1.47 cr has Grown at 1113.8% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs -0.15 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Half Yearly
At Rs 8.29 cr has Grown at 38.40%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 1.77 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 1.45 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 1.47 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 1.61
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)